Question 1

_____ mean(s) that no duties or quota charges will be placed on goods that are reexported from the FTZ.

Accepted Answer

A) Inverted tariff 
B) Duty deferral 
C) EXW 
D) Duty exemption 
E) Streamlined customs procedures 
A) Inverted tariff 
B) Duty deferral 
C) EXW 
D) Duty exemption 
E) Streamlined customs procedures

Question 2

All of the following are typical reasons why a country imposes countertrade demands except _____.

Accepted Answer

A) some countries simply lack the hard currency to purchase imported goods 
B) countertrade provides a means of selling products in markets to which a company may have otherwise lacked access 
C) developing nations often require Western multinationals to accept goods as at least partial payment for sales within their country 
D) the country may need assistance to produce its own goods and services 
E) All of these answers. 
A) some countries simply lack the hard currency to purchase imported goods 
B) countertrade provides a means of selling products in markets to which a company may have otherwise lacked access 
C) developing nations often require Western multinationals to accept goods as at least partial payment for sales within their country 
D) the country may need assistance to produce its own goods and services 
E) All of these answers.

Question 3

Cultural differences between countries seldom result in unwelcome surprises when buying internationally.

Accepted Answer

A) True 
 B)False

Question 4

_____ is the sum of the understandings that govern human interaction in a society.

Accepted Answer

A) Values 
B) Beliefs 
C) Language 
D) Behavior 
E) Culture 
A) Values 
B) Beliefs 
C) Language 
D) Behavior 
E) Culture

Question 5

Which of the following is not one of the usual roles of an international purchasing office?

Accepted Answer

A) Expedite and trace shipments. 
B) Negotiate supply contracts. 
C) Make payments and bribes to foreign officials to secure or retain business. 
D) Represent the buying firm to suppliers. 
E) Manage technical and commercial concerns. 
A) Expedite and trace shipments. 
B) Negotiate supply contracts. 
C) Make payments and bribes to foreign officials to secure or retain business. 
D) Represent the buying firm to suppliers. 
E) Manage technical and commercial concerns.

Question 6

All of the following are considered barriers to worldwide sourcing except _____.

Accepted Answer

A) use of simplified Incoterms compared to complex domestic terms of sale 
B) lack of knowledge and skills concerning global sourcing 
C) offshore business practices, language, and culture 
D) currency fluctuations 
E) resistance to change 
A) use of simplified Incoterms compared to complex domestic terms of sale 
B) lack of knowledge and skills concerning global sourcing 
C) offshore business practices, language, and culture 
D) currency fluctuations 
E) resistance to change

Question 7

All of the following are examples of why organizations source worldwide except _____.

Accepted Answer

A) access to the only source available 
B) react to buying patterns of competitors 
C) higher ethics 
D) cost/price benefits 
E) establish a market presence in another country market 
A) access to the only source available 
B) react to buying patterns of competitors 
C) higher ethics 
D) cost/price benefits 
E) establish a market presence in another country market

Question 8

A major concern with international purchasing is managing the risk associated with international currency fluctuations.

Accepted Answer

A) True 
 B)False

Question 9

All of the following are elements of total cost for worldwide sourcing except _____.

Accepted Answer

A) payment terms 
B) customs broker fees 
C) additional fees or commissions 
D) domestic income taxes 
E) inventory carrying costs 
A) payment terms 
B) customs broker fees 
C) additional fees or commissions 
D) domestic income taxes 
E) inventory carrying costs

Question 10

Options may be used to lock in favorable rates during negotiations or anytime a purchaser is anticipating the purchase of an item from a specific country.

Accepted Answer

A) True 
 B)False

Question 11

Barter requires trading parties to enter into a series of contracts to fulfill trading requirements.

Accepted Answer

A) True 
 B)False

Question 12

An inverted tariff means that no duties or quota charges will be placed on goods that are reexported from the FTZ.

Accepted Answer

A) True 
 B)False

Question 13

A common approach for coordinating work efforts is to rely on audio conferencing or skype type visual meetings at scheduled time intervals.

Accepted Answer

A) True 
 B)False

Question 14

All of the following are elements of total cost for worldwide sourcing except _____.

Accepted Answer

A) domestic corporate sales, general, and administrative expenses 
B) packaging 
C) base price 
D) inventory carrying costs 
E) insurance premiums 
A) domestic corporate sales, general, and administrative expenses 
B) packaging 
C) base price 
D) inventory carrying costs 
E) insurance premiums

Question 15

Few trade consulates have trade experts who are eager to do business with American buyers.

Accepted Answer

A) True 
 B)False

Question 16

The largest differences in communication styles across countries are message speed and level of content.

Accepted Answer

A) True 
 B)False

Question 17

Firms that centralize operational activities during global sourcing are likely to realize lower total cost of ownership, better inventory management, and improved performance to external customers.

Accepted Answer

A) True 
 B)False

Question 18

All of the following are examples of why organizations source worldwide except _____.

Accepted Answer

A) cost/price benefits 
B) access to product and process technology 
C) quality 
D) introduce competition to domestic suppliers 
E) ability to influence domestic consumers 
A) cost/price benefits 
B) access to product and process technology 
C) quality 
D) introduce competition to domestic suppliers 
E) ability to influence domestic consumers

Question 19

A/An _____ is a secure location approved by the appropriate U.S.Customs and Border Protection (CBP) office.

Accepted Answer

A) offshore supplier 
B) international purchasing office 
C) agent 
D) offset 
E) foreign trade zone 
A) offshore supplier 
B) international purchasing office 
C) agent 
D) offset 
E) foreign trade zone

Question 20

Hedging involves the simultaneous purchase and sale of currency contracts in two markets.

Accepted Answer

A) True 
 B)False

_____ mean(s) that no duties or quota charges will be placed on goods that are reexported from the FTZ.

All of the following are typical reasons why a country imposes countertrade demands except _____.

Cultural differences between countries seldom result in unwelcome surprises when buying internationally.

_____ is the sum of the understandings that govern human interaction in a society.

Which of the following is not one of the usual roles of an international purchasing office?

All of the following are considered barriers to worldwide sourcing except _____.

All of the following are examples of why organizations source worldwide except _____.

A major concern with international purchasing is managing the risk associated with international currency fluctuations.

All of the following are elements of total cost for worldwide sourcing except _____.

Options may be used to lock in favorable rates during negotiations or anytime a purchaser is anticipating the purchase of an item from a specific country.

Barter requires trading parties to enter into a series of contracts to fulfill trading requirements.

An inverted tariff means that no duties or quota charges will be placed on goods that are reexported from the FTZ.

A common approach for coordinating work efforts is to rely on audio conferencing or skype type visual meetings at scheduled time intervals.

All of the following are elements of total cost for worldwide sourcing except _____.

Few trade consulates have trade experts who are eager to do business with American buyers.

The largest differences in communication styles across countries are message speed and level of content.

Firms that centralize operational activities during global sourcing are likely to realize lower total cost of ownership, better inventory management, and improved performance to external customers.

All of the following are examples of why organizations source worldwide except _____.

A/An _____ is a secure location approved by the appropriate U.S.Customs and Border Protection (CBP) office.

Hedging involves the simultaneous purchase and sale of currency contracts in two markets.

Introduction to Purchasing and Supply Chain Management

The Purchasing Process

Purchasing Policies and Procedures

Supply Management Integration for Competitive Advantage

Purchasing and Supply Management Organization

Supply Management and Commodity Strategy Development

Supplier Evaluation and Selection

Supplier Quality Management

Supplier Management and Development: Creating a World-Class Supply Base

Strategic Cost Management

Purchasing and Supply Chain Analysis: Tools and Techniques

Negotiation and Conflict Management

Contract Management

Purchasing Law and Ethics

Lean Supply Chain Management

Purchasing Services

Supply Chain Information Systems and Electronic Sourcing

Performance Measurement and Evaluation

Purchasing and Supply Strategy Trends

Filters

Exam 10: Worldwide Sourcing

_____ mean(s) that no duties or quota charges will be placed on goods that are reexported from the FTZ.

All of the following are typical reasons why a country imposes countertrade demands except _____.

Cultural differences between countries seldom result in unwelcome surprises when buying internationally.

_____ is the sum of the understandings that govern human interaction in a society.

Which of the following is not one of the usual roles of an international purchasing office?

All of the following are considered barriers to worldwide sourcing except _____.

All of the following are examples of why organizations source worldwide except _____.

A major concern with international purchasing is managing the risk associated with international currency fluctuations.

All of the following are elements of total cost for worldwide sourcing except _____.

Options may be used to lock in favorable rates during negotiations or anytime a purchaser is anticipating the purchase of an item from a specific country.

Barter requires trading parties to enter into a series of contracts to fulfill trading requirements.

An inverted tariff means that no duties or quota charges will be placed on goods that are reexported from the FTZ.

A common approach for coordinating work efforts is to rely on audio conferencing or skype type visual meetings at scheduled time intervals.

All of the following are elements of total cost for worldwide sourcing except _____.

Few trade consulates have trade experts who are eager to do business with American buyers.

The largest differences in communication styles across countries are message speed and level of content.

Firms that centralize operational activities during global sourcing are likely to realize lower total cost of ownership, better inventory management, and improved performance to external customers.

All of the following are examples of why organizations source worldwide except _____.

A/An _____ is a secure location approved by the appropriate U.S.Customs and Border Protection (CBP) office.

Hedging involves the simultaneous purchase and sale of currency contracts in two markets.

Introduction to Purchasing and Supply Chain Management

The Purchasing Process

Purchasing Policies and Procedures

Supply Management Integration for Competitive Advantage

Purchasing and Supply Management Organization

Supply Management and Commodity Strategy Development

Supplier Evaluation and Selection

Supplier Quality Management

Supplier Management and Development: Creating a World-Class Supply Base

Strategic Cost Management

Purchasing and Supply Chain Analysis: Tools and Techniques

Negotiation and Conflict Management

Contract Management

Purchasing Law and Ethics

Lean Supply Chain Management

Purchasing Services

Supply Chain Information Systems and Electronic Sourcing

Performance Measurement and Evaluation

Purchasing and Supply Strategy Trends

Filters